Is that the pole dancers?
Best Thread CMC Markets owner answers your questions
- Thread starter PC at CMC Markets
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Is that the pole dancers?
B
Black Swan
Lots of queries re. lower spreads etc on this thread...just started a new thread in relation to Worldspreads' share collapse this morning..
In cutting it to the bone, to get customers, are WS now walking a tightrope? IMHO the zero spread model cannot possibly work, even if it was *genuine* which it isn't..
What also concerns me is the possibility of one of the SB companies, such as WS, going pop. I'd be happy to see some determined consolidation taking place in this industry to benefit/protect the consumer..
http://www.trade2win.com/boards/spr...ldspreads-shares-down-after-loss-warning.html
In cutting it to the bone, to get customers, are WS now walking a tightrope? IMHO the zero spread model cannot possibly work, even if it was *genuine* which it isn't..
What also concerns me is the possibility of one of the SB companies, such as WS, going pop. I'd be happy to see some determined consolidation taking place in this industry to benefit/protect the consumer..
http://www.trade2win.com/boards/spr...ldspreads-shares-down-after-loss-warning.html
Why are you always in favor of the big guys moving in?
Hopefully alive.Dead or alive?
Hopefully alive.
Counts me out, then.
Peter,
Perhaps this is an unexpected question but its something I've been curious about, and it could be asked of any broker.
Does CMC monitor the trading performance of customers, and are there any stats collected by CMC concerning successful traders with growing accounts, and failing traders who are loosing? If so, then have you seen any evidence of the widely held belief of the failure rate of traders being 95%?
Perhaps this is an unexpected question but its something I've been curious about, and it could be asked of any broker.
Does CMC monitor the trading performance of customers, and are there any stats collected by CMC concerning successful traders with growing accounts, and failing traders who are loosing? If so, then have you seen any evidence of the widely held belief of the failure rate of traders being 95%?
I guess Peter have to answer this question himself, but according to him, they do not with the nextgen platform practice this kind of monitoring. It s a "faceless" (his own word) operation, if it is a "numberless" operation remains to be seen.
B
Black Swan
Simon at CS suggests 20% of customers are winners.
The really interesting figure would be the actual amount those 20% win compared with the 80% who lose.
tar
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arabianights
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I'd also be interested on how much CMC makes on average per trade... specifically, whether it's more or less than the spread.
I know I personally am currently making something between 1/3 and 1/4 of the spread, on average, on my market making...
tar
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http://www.cmcmarketsplc.com/group-results/company-reports
http://www.cmcmarketsplc.com/group-results/consolidated-income-statement
The revenue is 152 M pounds , and the notional value of the trades is 770 B pounds , so they made 1.97 pounds/10000 pounds , this is if we look at the revenue , if we want the net profit then they didnt make any profits last year or 2 ...
montmorencyt2w
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Here is one quote from him saying that:
http://www.financial-spread-betting.com/Losers.html
Some other interesting stuff on that page also, although I think the data are a bit old now.
I think SD has said the same here on T2W.
I agree with Ross that it would be interesting to know how much on average, the winners win (and how much the losers lose).
PC at CMC Markets
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Hi xec10
Thanks for your posting. I am completely amazed by this question. Why is it relevant to us if clients win or lose when they trade? The bottom line is that as a spread better you have a lot of choice who to work with. The spreads are very competitive, transparent and tight and you are trading derivatives on recognised markets. You get free charting, free news, free analytics, no ticket time out, fractional pricing. Spread betters have never had a more competitive environment to trade in.
We as a company have to handle millions of trades, stops, limits, orders every month across multiple asset classes. We have to deliver a very competitive service on some times non marketable amounts. In addition we have a big partners business where we deal with one account with our partners and clear trades through that account. Their clients trade on our prices.
Spread betters have to concentrate on making money from the markets. When you spread bet you may open a position with your spread bet company but ultimately it is the market direction that determines whether you will make money or not.
You are taking on the worlds markets when you bet not your spread bet company.
Thanks for taking the time to post.
regards Peter
Thanks for your posting. I am completely amazed by this question. Why is it relevant to us if clients win or lose when they trade? The bottom line is that as a spread better you have a lot of choice who to work with. The spreads are very competitive, transparent and tight and you are trading derivatives on recognised markets. You get free charting, free news, free analytics, no ticket time out, fractional pricing. Spread betters have never had a more competitive environment to trade in.
We as a company have to handle millions of trades, stops, limits, orders every month across multiple asset classes. We have to deliver a very competitive service on some times non marketable amounts. In addition we have a big partners business where we deal with one account with our partners and clear trades through that account. Their clients trade on our prices.
Spread betters have to concentrate on making money from the markets. When you spread bet you may open a position with your spread bet company but ultimately it is the market direction that determines whether you will make money or not.
You are taking on the worlds markets when you bet not your spread bet company.
Thanks for taking the time to post.
regards Peter
B
Black Swan
I just hope a lot of folk take this on board and take responsibility for their trading, so many traders get paranoid that their broker/sb firm/the market is out to get them..For sure the market stop hunts, feeds and bounces off big round numbers etc, etc, but the broker/sb firm/market isn't out to stiff you, we self harm more than the market inflicts pain.
I started a thread a year or so back, the myths and the realities, Trader Dante made a very informed contribution on it, it's died a death but some good points were made and issues raised...
PC at CMC Markets
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Hi tonym
Because there is little or no demand for it from our client base. Can never really understand why anybody would want to have a buy and sell ticket open at any one time to be honest.
thanks for your post
regards peter
Because there is little or no demand for it from our client base. Can never really understand why anybody would want to have a buy and sell ticket open at any one time to be honest.
thanks for your post
regards peter
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